Construction Industry Development Board Act, 2000 (Act No. 38 of 2000)

Notices

Standard for Developing Skills through Infrastructure Contracts, July 2020

6. Sanctions

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6.1 In the event that the contractor fails to substantiate that any failure to achieve the contract skills development goal was due to reasons beyond the contractor's control which may be acceptable to the employer, the sanctions provided for in the contract or order shall apply.

 

NOTE: The contract establishes the sanctions that apply. These are set out in a tender evaluation schedule, the scope of work or contract data. Sanctions where tender evaluation points are granted with respect to a tendered CSDG or where a minimum CSDG is specified are usually applied in the form of:

 

(a) financial penalties (low performance damages), typically formulated on the difference between the contracted CSDG and the CSDG achieved in the performance of the contract; and
(b) the issuing of completion certificates only after the certificates described in clause 5 are received.